VF (VFC) AI Stock Analysis

• Market Cap: $5.19B
• Dividend Yield: 2.71%
• Average Volume (3M): 7.16M
• Price to Earnings (P/E): 61.2
• Beta (1Y): 1.22
• Revenue Growth: -7.41%
• EPS Growth: N/A
• Country: US
• Employees: 18,000
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Manufacturers
• EPS (TTM): -0.24
• Shares Outstanding: 390,616,520
• 10 Day Avg. Volume: 6,612,089
• 30 Day Avg. Volume: 7,156,386
• PEG Ratio: 0.40
• Price to Book (P/B): 4.11
• Price to Sales (P/S): 0.64
• P/FCF Ratio: 18.00
• Enterprise Value/Market Cap: 1.86
• Enterprise Value/Revenue: 1.02
• Enterprise Value/Gross Profit: 1.88
• Enterprise Value/Ebitda: 12.51
• 1Y Price Target: $14.68
• Price Target Upside: 10.46% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 18

• Rating: 51 Neutral
• Price Target: $14.50 ▲(9.10% Upside)

VF Corporation's overall stock score reflects significant financial challenges, with declining revenue and high leverage being the most impactful factors. While technical indicators and valuation suggest some potential, they are overshadowed by financial risks. The earnings call provides a cautiously optimistic outlook, but challenges with the Vans brand and tariff impacts remain critical concerns.

Positive Factors

Brand Growth

Growth in key brands like The North Face and Timberland indicates strong market positioning and effective marketing strategies, supporting long-term revenue potential.

Cost Reduction

Significant cost reductions enhance operational efficiency and profitability, providing a stronger financial foundation for future growth.

Balance Sheet Improvement

Reducing net debt improves financial stability and flexibility, allowing the company to invest in growth opportunities and weather economic fluctuations.

Negative Factors

Revenue Decline

A significant decline in Vans revenue highlights brand-specific challenges that may affect overall company performance if not addressed.

Tariff Impact

Tariff impacts present ongoing cost pressures, potentially affecting profitability and requiring strategic adjustments to mitigate financial impact.

Gross Margin Pressure

Flat gross margin outlook suggests difficulties in sustaining margin improvements, impacting long-term profitability and financial health.

VF Business Overview & Revenue Model

Company Description

V.F. Corporation, together with its subsidiaries, engages in the design, procurement, marketing, and distribution of branded lifestyle apparel, footwear, and related products for men, women, and children in the Americas, Europe, and the Asia-Pacific. It operates through three segments: Outdoor, Active, and Work. The company offers outdoor, merino wool and other natural fibers-based, lifestyle, and casual apparel; footwear; equipment; accessories; outdoor-inspired, performance-based, youth culture/action sports-inspired, streetwear, and protective work footwear; handbags, luggage, backpacks, and totes; and work and work-inspired lifestyle apparel and footwear. It provides its products under the North Face, Timberland, Smartwool, Icebreaker, Altra, Vans, Supreme, Kipling, Napapijri, Eastpak, JanSport, Dickies, and Timberland PRO brand names. The company sells its products primarily to specialty stores, department stores, national chains, and mass merchants, as well as sells through direct-to-consumer operations, including retail stores, concession retail stores, and e-commerce sites, and other digital platforms. V.F. Corporation was founded in 1899 and is headquartered in Denver, Colorado.

How the Company Makes Money

VF Corporation generates revenue primarily through the sale of branded apparel, footwear, and accessories across multiple channels, including wholesale, direct-to-consumer (DTC) retail stores, and e-commerce. The company's key revenue streams include wholesale distribution to department stores, specialty retailers, and online marketplaces, as well as direct sales through its owned retail locations and websites. Significant partnerships with retailers and collaborations with influencers and athletes enhance brand visibility and drive sales. Additionally, VF's commitment to sustainability and innovation attracts environmentally conscious consumers, further contributing to its earnings.

VF Financial Statement Overview

Summary

VF Corporation faces significant financial challenges. The income statement reveals declining revenue and profitability, while the balance sheet shows high leverage and poor return on equity. Cash flow management is also a concern, with declining free cash flow growth. The company needs to focus on improving profitability, reducing debt, and enhancing cash flow to strengthen its financial position.

Income Statement

The income statement shows declining revenue and profitability. The TTM data reveals a negative net profit margin of -0.60%, indicating losses. Revenue growth is negative, with a decline of 1.52% in the TTM period. Gross profit margin remains relatively stable at 44.01%, but EBIT and EBITDA margins are low at 5.48% and 7.50%, respectively. The company faces challenges in maintaining profitability and reversing revenue declines.

Balance Sheet

The balance sheet indicates high leverage with a debt-to-equity ratio of 4.39 in the TTM period, suggesting significant financial risk. Return on equity is negative at -3.92%, reflecting poor profitability. The equity ratio is low, indicating a heavy reliance on debt financing. The company needs to improve its equity position and reduce debt to enhance financial stability.

Cash Flow

Cash flow analysis shows a decline in free cash flow growth by 47.38% in the TTM period, indicating cash flow challenges. The operating cash flow to net income ratio is low at 0.09, suggesting limited cash generation relative to net income. However, the free cash flow to net income ratio is relatively better at 0.62, indicating some ability to generate cash despite net losses. The company needs to improve cash flow management to support operations.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	9.50B	9.50B	9.92B	11.09B	11.84B	9.24B
Gross Profit	5.13B	5.08B	5.11B	5.80B	6.46B	4.91B
EBITDA	771.43M	729.01M	782.22M	1.23B	1.95B	1.05B
Net Income	-47.24M	-189.72M	-968.88M	118.58M	1.39B	407.87M
Balance Sheet
Total Assets	10.15B	9.38B	11.61B	13.99B	13.34B	13.75B
Cash, Cash Equivalents and Short-Term Investments	642.39M	429.38M	676.94M	814.89M	1.28B	1.41B
Total Debt	5.68B	5.37B	7.43B	8.15B	6.80B	7.36B
Total Liabilities	8.86B	7.89B	9.95B	11.08B	9.81B	10.70B
Stockholders Equity	1.29B	1.49B	1.66B	2.91B	3.53B	3.06B
Cash Flow
Free Cash Flow	186.97M	339.21M	803.60M	-917.05M	535.97M	1.04B
Operating Cash Flow	299.95M	465.24M	1.01B	-655.79M	864.29M	1.31B
Investing Cash Flow	1.39B	1.43B	-172.26M	-188.05M	903.74M	-2.90B
Financing Cash Flow	-1.77B	-2.15B	-959.62M	463.91M	-1.27B	1.05B

VF Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 13.29
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For VFC, the sentiment is Negative. The current price of 13.29 is below the 20-day moving average (MA) of 14.59, below the 50-day MA of 14.00, and below the 200-day MA of 15.84, indicating a bearish trend. The MACD of -0.06 indicates Positive momentum. The RSI at 36.77 is Neutral, neither overbought nor oversold. The STOCH value of 10.74 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for VFC.

VF Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RL	77 Outperform	$18.75B	24.70	32.55%	1.12%	9.61%	21.14%
LEVI	71 Outperform	$8.49B	18.52	25.99%	2.47%	3.20%	200.49%
KTB	68 Neutral	$4.13B	16.57	58.07%	2.80%	3.47%	5.86%
COLM	67 Neutral	$2.68B	12.47	12.93%	2.45%	0.81%	4.86%
PVH	66 Neutral	$3.68B	8.57	9.32%	0.20%	-1.14%	-29.30%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
VFC	51 Neutral	$5.19B	61.19	7.83%	2.71%	-7.41%	―

VF Corporate Events

VF Corporation Updates Credit Agreement Strategy

On August 26, 2025, V.F. Corporation entered into a new Credit Agreement with several financial institutions, including Wells Fargo and Bank of America, replacing its previous Five-Year Revolving Credit Agreement. The new agreement provides a $1.50 billion senior secured revolving credit facility with a termination date of August 26, 2030, and includes various subfacilities for international borrowings. The facility allows for multicurrency borrowings and includes an uncommitted accordion feature to increase the facility size up to $2.00 billion. The agreement is secured by the company’s assets and guaranteed by its subsidiaries. On August 27, 2025, the company terminated its previous credit commitments, marking a significant shift in its financial strategy.

VF Announces Quarterly Dividend Amid Strong Q1’26 Performance

On July 30, 2025, VF Corporation announced a quarterly dividend of $0.09 per share, payable on September 18, 2025. The company realigned its reportable segments in the first quarter of Fiscal 2026, affecting segment reporting but not consolidated results. VF’s Q1’26 earnings exceeded expectations, with revenue reaching $1.8 billion, flat compared to the previous year. The North Face and Timberland brands showed strong performance, while Vans faced challenges due to channel rationalization. The company reported an adjusted operating loss that was significantly better than guidance, and net debt decreased by $1.4 billion compared to the previous year.

VF Corporation Holds Annual Shareholders Meeting

On July 22, 2025, V.F. Corporation held its Annual Meeting of Shareholders where shareholders voted on several key issues. All twelve director nominees were elected, the compensation for VF‘s named executive officers was approved, and PricewaterhouseCoopers LLP was ratified as the independent registered public accounting firm for the 2026 fiscal year.

VF Appoints Michael E. Phillips as New CAO

V.F. Corporation has announced the appointment of Michael E. Phillips as Vice President, Chief Accounting Officer, effective June 1, 2025. This follows the retirement of Bryan H. McNeill, who has served the company for nearly 30 years. Phillips, who has been with the company since 2010, brings extensive experience in financial reporting and auditing, which is expected to support the company’s financial operations and strategic goals.